20 ECONOMIC TERMS
TOC #7
ECONOMIC TERMS - 1
•ECONOMICS – THE STUDY OF
UNLIMITED RESOURCES USED
FOR UNLIMITED WANTS.
ECONOMIC TERMS - 2
•HUMAN RESOURCES – PEOPLE
MAKING PRODUCTS IN ORDER
TO MAKE MONEY.
ECONOMIC TERMS – 3, 4
•CAPITAL RESOURCES – HARDWARE
USED TO MAKE GOODS (MACHINES)
•NATURAL RESOURCES – RAW
MATERIALS GOODS ARE MADE OF
(TREES)
ECONOMIC TERMS – 5, 6
•ENTREPRENEURSHIP – PEOPLE IN
POSITION TO CREATE AND RUN A
BUSINESS
•INVEST – BUYING SOMETHING TO BENEFIT
FINANCIALLY LATER
ECONOMIC TERMS – 7, 8
•GROSS DOMESTIC PRODUCT (GDP) –
TOTAL $$ FOR ALL GOODS AND SERVICES
IN A YEAR
•GDP PER CAPITA – TOTAL $$ AVAILABLE
PER PERSON (DIVIDE GDP BY POPULATION)
ECONOMIC TERMS – 9, 10
•SCARCITY – HAPPENS IF HUMAN WANTS
EXCEED GOODS AVAILABLE (JORDANS)
•SPECIALIZATION – WHEN PRODUCERS
PRODUCE SPECIFIC GOODS TO EARN
MONEY
ECONOMIC TERMS – 11, 12
•IMPORT – GOODS BROUGHT INTO A
COUNTRY
•EXPORT – GOODS SENT TO ANOTHER
COUNTRY
ECONOMIC TERMS – 13, 14
•VOLUNTARY TRADE – EXCHANGE OF
GOODS BETWEEN TWO OR MORE PEOPLE
•INTERNATIONAL TRADE – EXCHANGE OF
GOODS BETWEEN TWO OR MORE
COUNTRIES
ECONOMIC TERMS – 15, 16
•CURRENCY – MONEY (DOLLAR, EURO,
PESO, MARK, FRANC, POUND)
•EXCHANGE RATE – THE COST TO CHANGE
CURRENCY TO DIFFERENT CURRENCY
ECONOMIC TERMS – 17, 18
•TRADE BARRIER – LAWS OR PRACTICES FOR
LIMITING TRADE BETWEEN PEOPLE OR
COUNTRIES.
•TARIFF – PRICE ADDED ON TO A GOOD
THAT A CONSUMER BUYS
ECONOMIC TERMS – 19, 20
•QUOTA – LIMIT ON IMPORTED GOODS TO
A COUNTRY
•EMBARGO – COUNTRIES WHO REFUSE TO
IMPORT/EXPORT GOODS WITH OTHER
COUNTRIES
BIGGEST EMBARGO EVER
•OPEC REFUSED TO SELL OIL TO THE
UNITED STATES IN 1979 BECAUSE THE
UNITED STATES SUPPORTED ISRAEL IN A
WAR AGAINST FRIENDS OF OPEC
ECONOMIC TERMS
CONTINUED
•ONLY 4 MORE TERMS AND THEN
AN ECONOMIC TERMS REVIEW
ASSIGNMENT
ECONOMIC TERMS – 21, 22
• GOODS – TANGIBLE (TOUCHABLE) OBJECTS
THAT SATISFY THE ECONOMIC WANTS OF
PEOPLE (HOUSE, COMPUTER)
• SERVICES – ACTIVITIES PERFORMED BY PEOPLE
TO SATISFY THE ECONOMIC WANTS OF
PEOPLE (CARPET CLEANING, CLEANERS)
ECONOMIC TERMS 23, 24
•PRODUCER – SOMEONE WHO USES
RESOURCES TO MAKE A GOOD OR
PROVIDE A SERVICE
•CONSUMER – SOMEONE WHO BUYS A
GOOD OR USES A SERVICE
$$ 5 PANTHER BUCKS $$
•TO THE FIRST PERSON WHO CAN
TELL ME WHAT OPEC STANDS FOR.
MUST HAVE ALL WORK FOR
TODAY.